Banco Santander Share Discussion Threads

[leedslad001] 11/6/2013 13:56

watching £4.40

[dendria] 11/6/2013 13:54

Another buying opportunity appearing...

[leedslad001] 28/5/2013 08:59

thanks It not too late to join in. Think this will be well north of £5 by year end

[chinese investor] 28/5/2013 08:46

I missed out on this one !
Well Done to all Holders !

www.overzeal.co.uk

[dendria] 28/5/2013 08:10

4spiel - good point about the withholding tax. I noticed the difference in my final div payment but didn\'t question it. It seems odd to be taxed on the other quarter divs but not the final - I\'ll have to read up on it.

[4spiel] 27/5/2013 18:42

The scrip option without the tax is only offered on the final dividend. The dividend is being maintained this year but it is going to be reviewd next year. Also Banco Santander held in an ISA the Spanish may not find you with a large holding because they are held in Crest but if you hold in an ordinary trading account they might try to charge you for a capital gain.If you get a scrip divi remember when you sell you are required under Spanish and EU law to fill in a Spanish Tax declaration for CGT sometimes they don\'t catch you ! You can get a 10% tax credit from HMRC which mitigates the 21% witholding tax but not in an ISA which they are not interested in provided you don\'t exceed what you are allowed. BBVA a better bank and if you hold 500 give you a lot of free banking in Spain but cost more to buy and divi is less.

[dendria] 27/5/2013 15:06

Ken
SAN certainly pays a dividend - currently Euro 60c (about 51p) for CY13. Even better it\'s paid quarterly and has a scrip option to avoid Spanish withholding tax (you will need to check if your broker offers the scrip).

[4spiel] 27/5/2013 12:47

I have a holding in Santander.Not a large one -obviously one reviews holdings from time to time with a view to add or reduce again from time to time and particularly to take advantage of opportunities to collect more divi at lower cost or to add to capital. Spain has problems with an economy that erected a lot of concrete in a few decades putting too many eggs in one basket and this aberation has recently resulted in a lot of unemployed people and potentially unemployed people.We know that Banco Santander is not essentially Spain focussed -its one of the biggest of global banks and has a minority of its interest in Spain.One thing though its a euro demoniated stock primary listing in Madrid. Where the Euro will go and what it will eventually be like -whether it will eventually exist even is speculation and might always be. However Spain does have a problem -its showing signs of becoming more competitive but they still have an Everest to climb to get employment back to a socially stable level.Until this happens -and it might come with a depreciation of the euro -if it were successful in relation with other countries with trading currencies dealing with similar problems. But it could result eventually in withdrawal from the single currency. My feeling is that Banco Santander would be in quite a good position in that it has a high percentage of assets and earnings outside Spain and indeed outside the euro -zone. As such it strikes me as a good investment with a good yield even if it reduced say 30% or even a little more obviously though reducing its attractiveness- in pesetas Santander would achieve quite a good re-rating in the \'worst\' scenario. Indeed it may not be the worst scenario -it would get the domestic economy going again and people working again -but it might be bad for some still paying off big euro incurred mortgages. So on a quiet day I wondered what other thoughts and indeed experienced opinions -I would appreciate response.

[kenbachelor] 27/5/2013 12:00

Not quite CI, but I'm working on it!

[chinese investor] 27/5/2013 11:50

Dendria,
Thanks !
My Structured Bonds will soon come to Maturity and I\'m Looking for Replacements.
I\'m Looking for High Yielding Equities and BNC are in the Frame.

BTW KenBachelor is a 100 Years Old !

[kenbachelor] 27/5/2013 11:46

Now I'm even more confused as the financials link above says there hasn't been a dividend since 2011!

[kenbachelor] 27/5/2013 11:42

Dendria - Thank you for that very sensible synopsis. I like your reasoning and wish you well.

I hold 100k of BARC (down about 22%) and 154k of LLOY (down almost 68%), and I'm looking for a home for some surplus cash that's currently earning about 3% in the bank.

I'm more than happy holding the above for the long term although I'm already over invested in Banks I'm very tempted to buy a few, say 10k of these particularly as the major resistance on the chart in the header seems to be about 550p.

Thanks again for your help.

[dendria] 27/5/2013 11:03

Ken

I bought SAN last year at the height of the euro crisis and have been adding since.

The attraction for me is:

High div yield (13.4% at my average price)
Forward p/e (less than 10)
Low debt/equity (0.3)
Low price/book (0.7)
Emerging markets opportunity (much of the profits come from Lat Am)

Real estate provisioning is effectively complete so we will see a return to significant profits this year and beyond.
Botin has stated dividend will be maintained at current levels for FY13. This will be reviewed for FY14 would be happy to hold even if dividend was reduced.

I also hold BARC (bought during Libor opportunity). Both great global banks.

[call-logger] 26/5/2013 23:16

Er, the yield?

[leedslad001] 23/5/2013 15:23

Added again today on the low. Happy to add at this level for the divi.

[2ngh] 23/5/2013 13:26

440 will be the test and if fails then 400 next.

[smithie6] 23/5/2013 13:13

Spanish banking sector has problems imo....

recent news is that will have to inject more money to save them...
and I think better banks like BNC also have to should part of the cost..

and news that there is more bad debt to be unveiled.....loans being extended in time rather than declared as a bad or doubtful debt...

could easily get very ugly imo...
and does anyone believe the Spanish Govt. or the Bank of Spain ?....I dont think so. (ex-MD is I think involved in legal charges that he intentionally did not comply with the law .....since he wanted to keep the political party of the Govt. happy...he was put in I think by that party/Govt.)

[leedslad001] 22/5/2013 11:32

i added again monday.

[dendria] 22/5/2013 11:00

Interesting chart developing. Fed chairman Bernanke speaks to Congress on the economy today - could move SAN either way. I'm thinking of adding yet again - still looks great long.

[4spiel] 06/5/2013 14:53

The alternative scenario is Mario Draghi does indeed do everything it takes to keep the euro as it is -but it maybe it needs a much cheaper euro -but that might suit a cheaper £ too. I am not against this bank or Spain and price per share its not high in euro in present century if it is not so cheap historically

[4spiel] 05/5/2013 13:29

All the same Banco Santander is a euro demoninated stock listed primarily on the Madrid exchange. With a country that has 27% overall unemployment and at least 50% youth unemployment and a property market plagued by such corrupt practices and rip off taxes how will it get out of it. This is the big issue with all Spanish stuff.Now if they had to leave the Euro would Spanish stocks fall or would the peseta value of the stocks rise so that in effect the stocks are insulated from that particular scenario ? It goes to say that if the whole Spanish market fell SAN would fall too. Recently there has been a rally in Spanish stocks with the less Spain centred ones doing relatively better. Some people just trade the IBEX which is a cleaner way but no divi. But SAN's just paying out and the first quarter earnings not so good -so who is in any hurry ?